A survivor's guide to omnichannel

"Ninety percent of survival is mental." This is a common phrase heard in survival classes taught by adventurer Mike Horn and other survival training events. Indeed, having the latest equipment and technologies, as well as building an athlete's physique, will yield no results unless you have the mindset that stops you from becoming paralyzed by stress or weariness.

"But what does this have to do with digital technology?" you may ask yourself. 

The explanation is simple: the current Covid-19 crisis is putting businesses to the test, and for many, their survival will be determined by digital technology's ability to absorb shocks while still generating money.

For businesses that haven't yet made the switch, omnichannel transformation is more important than ever. This situation could be equated as a rite of passage for individuals who have already begun. The first thing to do in any scenario of sudden stress is to take a five-minute break to help you make the best judgments possible, and remember that all of the frenzied digital activity should not cause us to lose sight of the essentials and common sense.

"Without a direction, there is no good route"

Omnichannel requires a precise goal

Recent occurrences have demonstrated that both 100 percent physical and 100 percent digital lockdowns pose problems, as the lockdown will not continue indefinitely. As a result, striking the correct balance between the two and achieving omnichannel efficiency is a good notion. The first stumbling block to avoid is conflating multichannel, which entails adapting your message to all available channels, with omnichannel, which aims to create synergies via the complementarity of content delivered through each channel, all based on a common thread (such as enhancing the user experience, winning greater attention share or attracting the curiosity of your target audience).

What is the best way to tackle this obstacle?

Take the time to conduct a preliminary self-evaluation: What do you have in common? Is it evident to all parties concerned?

The need to unite

Now that you have a clear target and an unobstructed field of view, it's time to apply another survival principle:

"Your chances are better together than alone."

Of course, you'll have to persuade the decision-makers. Getting decision-makers on board is essential not only for securing a budget, but also for ensuring that the individuals you require are available throughout the process.

What is the best way to tackle this obstacle?
Consider the following facts: Have you enlisted the help of all of the teams involved?

So far, so good: you should be able to quickly deploy a variety of complimentary formats and achieve a strong omnichannel impact. All of the components are present: team spirit, buzz, and creativity. Congratulations! You can now relax and enjoy your first victory.

Omnichannel is a long-distance race

Here's where another crucial rule comes into play:

"Don't look away from the ball."

Keep track of the transformation process's results measurement. Is there still a sense of unity? Or has the work of acquiring and evaluating data been delegated to a single department? Here's where the danger is... Employees will eventually start referring to the specific performance metrics that determine the size of their quarterly or end-of-year bonuses.

"Omnichannel is all well and good, but my direct sales KPI is better when I aim for a 100% e-Business result…"

"I've already spent enough time on user experience; right now, store sales are what's bringing home the money."

This kind of reasoning will naturally lead your e-commerce colleagues to continue to track website traffic and direct online sales, while your colleagues in stores will focus on brick-and-mortar sales and store footfall.

How to overcome this challenge?

Plan meetings for synchronization: are they spaced out enough to cover a long period of time? Be wary of outcomes that appear to demonstrate omnichannel capacity just in the short term. True omnichannel transformation is a process that takes time. You can't go wrong with a tried-and-true tool like KPI monitoring to keep you on target.

"Only use equipment you know you can rely on"

Your survival kit: trusty old KPIs

KPIs act as a compass, ensuring that you don't get lost along the route. Select the appropriate ones by determining whether the performance metrics you've established are:

  • Aligned with the transformation process?
    • Your KPIs should be discussed with all teams involved to ensure that everyone is on the same page and moving in the same direction
  • Acceptable for your CFO?

    • This is so that results that don't fall into any of the categories in your finance department's reporting charts don't go unnoticed.

    • Certain measures may not be measured or directly connected to higher sales (for example, increased brand knowledge or visibility); alternatively they may have an effect only after the fiscal year has ended (for example, an increase in customer loyalty if you have a long buying cycle). Because the goal of the game is to bring people together, you have two options: discover a way to quantify the results or adopt a different KPI.

  • Easy to gather?

    • Is your BI system technically capable of delivering the data you require? To obtain the essential information, you may need to get many previously independent products to communicate with one another, which will almost certainly necessitate development work. Will data processing be required, and who will be responsible for it? Will the teams in control be able to allocate the appropriate resources when they are needed, even if all of this is technically feasible?

"A machete is essential in the jungle, but useless in the desert."

ROPO² – the king of KPIs?

Finally, you've probably heard of the ROPO2 indication if you're contemplating an omnichannel shift (Research Online, Purchase Offline, the squared symbol meaning that it works in both directions). Is this, then, the pinnacle of omnichannel KPIs? The answer is not binary, as is often the case, and this KPI has certain limitations.

To begin, disregard the statement that "80% of customers research online before buying," as this differs not only by industry (catering, services, or consumer products), but also by business style (e.g. consumer goods distributed through a network of brand-owned physical stores or via retail outlets).

As a result, you may need to predict results considerably below 80% and respond to the query "why so few?" This indicator has the significant benefit of putting a number to an abstract concept. It is deserving of consideration just on this basis!

How to calculate it?

Another issue is that there are various methods for calculating ROPO2, none of which is perfect. You'll need to choose one that suits your needs:

  • Define exactly what you wish to analyze;
  • Make a list of the resources you have at your disposal;
  • Then, because you'll have to tolerate some degree of approximation, pick between partial measurements and forecasts.

You'll never be able to account for 100% of interactions, no matter how hard you try (due to the GDPR, private browsing, multiple device use, uneven distribution of interactions over time, and so on). As a result, you'll only be able to gauge the impact of your spending in this area to a limited extent.

"In summary, as much as your equipment, you should trust your survival instinct."

So, what are your options? Take a knee, use your common sense, and perceive ROPO2 for what it is: just a signal, as you would in a survival crisis.

Once you've specified your calculation process, keep an eye on it on a regular basis and don't read too much into it. As a result, it should potentially assist you in identifying trends in your omnichannel performance. No more, no less: it's up to you to make the best of it.

As a result, in this jungle of new technology and transition, coming back to basics, like in a hostile situation, will frequently put you on the route to survival!

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